A 174 petty cash fund has cash of 25 and receipts of 137 What would be part of the journal entry to replenish the account?

Answer 1

Assuming you are asking about an "Imprest" Petty Cash account with a nominal balance of $174, an actual cash content of $25, and receipts representing $137 in legitimate purchases, the entry would be something like the following: Debit Expense Accounts (itemized according to nature of receipts): $137
Debit Expense Account "Petty Cash Shrinkage" (or whatever it is called in your system): $12
Credit Petty Cash: $149
Note: Recognize Petty Cash Expense Debit Petty Cash: $149
Credit Checking (or wherever you get the cash from): $149
Note: Restore Petty Cash to Imprest level ($174) OR the composite equivalent entry: Debit Expense Accounts (itemized according to nature of receipts): $137
Debit Expense Account "Petty Cash Shrinkage": $12
Credit Checking: $149 Hope this helps